yd builder floor on sale for no less than Rs 10 crore is now available for around Rs 8.5 crore,” says Kumar.

“Volume of transactions has been low due to the ‘wait and watch’ sentiment prevailing in the market. Investors feel that prices may go down further. The hikes in circle rates have also affected the market adversely due to higher registration charges,” says Arora.

Going forward, the proposed Land Pooling Policy is expected to bring in more land for development. Under the policy, landowners can pool their holdings and develop them. “This fresh supply on the Delhi real estate market will help rationalise land prices in the neighbouring towns of Gurgaon and Noida,” says Kumar.

But most observers expect the results of the policy to manifest only after five years. Much also depends on how the policy is implemented. “While the policy is intended for bringing in more supply of land, the policy cannot ensure faster delivery of projects conceptualised on the pooled land parcel,” says Sandhir.

Even as more options emerge for Delhi, the current market for builder floors is not expected to see any drastic impact. “The market for redevelopment and builder floors won’t fade away as this is win-win for both property owners and developers. I won’t hesitate in saying that this is probably the only way forward considering the high land prices of land in Delhi,” says Kapoor. “It would definitely witness a price correction though.”

The development in the national capital is an extreme example of what happens when land supply practically dries up. Delhi si expanding but those suburbs like Greater Noida and Manesar are now almost 40 kilometeres away even from the city borders.